The legal sports betting market continues to generate profits from the growth of commercial gaming. According to the American Gaming Association (AGA), US gaming generated a quarterly record $16.07 billion in revenue in the second quarter of 2023.
The impressive second-quarter results, which came in at an 8.1% increase, marked the 10th consecutive quarter of annual growth for gaming in the United States.
“These results are a clear indication that our post-pandemic recovery has not been a fluke: the gaming industry continues to thrive, and when we do well, our communities do too,” said American Gaming Association CEO and President, Bill Miller, in a statement.
“To sustain this momentum, the AGA will continue to recruit more allies in our fight against the illegal trade, bolstering responsible gaming and building a business environment that allows our innovative industry to bring world-class entertainment to adults across America.” Miller.
The gaming industry includes slots, traditional table games, sports betting and iGaming. As such, the group was led by slots in the second quarter of 2023, which generated $8.89 billion in revenue.
However, sports betting reported the most significant growth in the second quarter of 2023, with revenue reaching $2.3 billion, an increase of 56.6% compared to the same period last year.
Meanwhile, iGaming – which is only legal in less than 10 states in the United States – generated $1.48 billion in revenue, up 22.5% compared to the second quarter of 2022 – marking a drop of 2 .1% year on year.
State by state results
Results for commercial gaming in the second quarter of 2023 were comprised of 34 states and the District of Columbia. Of those 34 jurisdictions, 23 of them reported an increase in Q2 gaming revenue compared to last year.
Sports betting has helped some of these jurisdictions reach new heights. New York – America’s largest online gambling market – generated $1.16 billion in gaming revenue in the second quarter of 2023. This represents an increase of 13.7% year-on-year.
In this way, the sports betting market also benefited states that recently authorized betting.
Massachusetts, for example, legalized online gambling sites in March. The state reported $155.3 million in sports betting revenue in the second quarter of 2023.
Results were boosted by a $1.37 billion turnover in the second quarter. So Massachusetts and other states with sports betting are poised for continued growth.
About the American Gaming Association
The AGA leads a rigorous and inclusive process to define industry positions on all major issues. Therefore, the organization supports policies that promote industry reinvestment and innovation.
Additionally, the American Gaming Association prioritizes issues that provide the industry and members with the greatest leverage and the greatest business value.
In the second quarter of 2023, US sports fans wagered $23.51 billion on sporting events – an increase of 19.7% year-over-year.
